The investment is an absolute NNN-lease with 16 years remaining on it. The lease commenced on January 1, 2008 and includes Four 5-year options. The lease has increases of the lesser of 1% every years or 1x CPI in the trailing two years, the next increase is January 1, 2013. The property has an attractive cap rate of 7.50% and absolutely no landlord responsibilities. The building is 2,815 square feet and it sits on .8 acre parcel of land.

KFC rules the roost when it comes to serving chicken. One of the world's largest fast-food chains, the company owns and franchises more than 15,500 outlets in more than 100 countries. (About 5,300 locations are in the US.) The restaurants offer the Colonel's trademark fried chicken (in both Original Recipe and Extra Tasty Crispy varieties) along with chicken sandwiches, chicken pot pies, crispy chicken strips, mashed potatoes and gravy, and potato wedges. Its locations can be found operating as free-standing units and kiosks in high-traffic areas.

Location Overview

Demographics:

This exclusive KFC listing is located at 4703 Grand Avenue in Fort Smith, Arkansas. This property is located in a high concentrated area of national retail tenants along with being less than a mile from the University of Arkansas - Fort Smith.

The restaurant is surrounded by several national and local tenants. The Tenants in the immediate area include Hardee's, Subway, Harps Grocery Store, Valco Sonic Drive-in, Burger King, Little Caesars Pizza, George's Restaurant, Al's Bar-B-Q, El Rodeo, McDonalds, Los Jalapenos, Walgreens and Texaco. Within 1.5 miles south of the KFC there are other national tenants like Wal-Mart, Talbots, Big Lots, Centra Mall which houses Dillard's, American Eagle, JC Penney, Payless, Radio Shack and many more.

Fort Smith, Arkansas is the second largest city in Arkansas with a population if 86,209 according to the 2010 census. Fort Smith lies on the Arkansas-Oklahoma state boarder, situated at the junction of the Arkansas and Poteau Rivers. The city hosts the University of Arkansas - Fort Smith which enrolls approximately 7,700 students yearly. Recently Forbes magazine named Fort Smith as the number one city in America for cost of

Guarantor Overview

Tenant Information:

History: K-MAC Enterprises, Inc. was founded by Ken McGruder in Fort Smith, Arkansas in 1964. They are a leading operator of Taco Bell and KFC quick-service restaurants, with more than 140 locations. The company's restaurants are franchised from YUM! Branks, and are located mostly in Arkansas, as well as in Missouri, Oklahoma, and Texas. KMAC Enterprises, Inc also owns and operates a small number of buffet-style family steak houses franchised from Golden Corral. In 2005 a Connecticut-based private equity firm Olympus Parteners aquired the business.

YUM! BRANDS

YUM! Brands is the largest fast-food operator in the world in terms of number of locations, with more than 36,000 outlets in more than 110 countries. (It trails only hamburger giant McDonald's in sales.) Its flagship chains include #1 chicken fryer KFC (with more than 15,500 units), top pizza joint Pizza Hut (more than 13,000), and quick-service Mexican leader Taco Bell (more than 5,800). YUM! also operates the Long John Silver's seafood chain, along with several hundred A&W root beer and burger stands. The company operates a little more than 20% of its restaurants; the rest are either franchised or licensed locations.

KFC

KFC rules the roost when it comes to serving chicken. One of the world's largest fast-food chains, the company owns and franchises more than 15,500 outlets in more than 100 countries. (About 5,300 locations are in the US.) The restaurants offer the Colonel's trademark fried chicken (in both Original Recipe and Extra Tasty Crispy varieties) along with chicken sandwiches, chicken pot pies, crispy chicken strips, mashed potatoes and gravy, and potato wedges. Its locations can be found operating as free-standing units and kiosks in high-traffic areas.

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